Iran and India have reached a basic barter trade deal, enabling New Delhi to purchase the Iranian oil in exchange for the Indian textile products.Reza Tofiqi, the vice president for marketing and relations adjustment at Irans Trade Promotion Organization, told Mehr news agency on Wednesday that Tehran and New Delhi have held negotiations over the exchange of the Islamic Republics crude oil and gas condensates for Indias textile machinery and raw materials.
It was agreed that a preliminary agreement be signed between the private sectors of the two countries for imports of textile machinery and raw materials, and then general agreements will be struck between the two administrations over the exchange of oil for goods, Tofiqi said.
Tofiqi further added that Iran is the major oil supplier to India, while the South Asian country is experienced in the field of textile industry. The Islamic Republic might increase imports from India up to $400 million if the two sides reach a final agreement, he said.
In this regard, India's Textiles Secretary Zohra Chatterji also said the two sides have started to hold talks over the barter trade deals, expressing hope that the agreements would be established between Tehran and New Delhi.
At the beginning of 2012, the United States and the European Union imposed new sanctions on Irans oil and financial sectors with the goal of preventing other countries from purchasing Iranian oil and conducting transactions with the Central Bank of Iran.
The illegal US-engineered sanctions have been imposed based on the unfounded accusation that Iran is pursuing non-civilian objectives in its nuclear energy program.
Iran rejects the allegation, maintaining that as a committed signatory to the Non-Proliferation Treaty and a member of the International Atomic Energy Agency, it has the right to use nuclear technology for peaceful purposes.
By Press TV
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